US giant ExxonMobil and Australia-listed company Oil Search have signed agreements to gain a stake in two permits in the Papuan Gulf, off the coast of Papua New Guinea.Oil Search revealed both it and ExxonMobil had entered into separate agreements with CNOOC Ltd-owned Gini Energy to acquire a 40% interest each in PPL 374 and 375, with ExxonMobil also to take over operatorship from Gini, which will retain a 20% stake. Oil Search managing director Peter Botten said the deal to farm in to the offshore acreage followed a comprehensive study of exploration opportunities in PNG. “This work identified the offshore Papuan Gulf as an area where there is significant gas potential, with several multi-trillion cubic feet gas leads and prospects already delineated in these licences,” he said. “We are delighted to be partnering with ExxonMobil, which has significant experience in exploration and production in deep-water, and we also welcome the opportunity to work with CNOOC Ltd for the first time.” The licences cover 24,936 square kilometres, about 150 kilometres south of Port Moresby, with water depths ranging from 1000 – 2500 metres.
Story and caption courtesy of Upstream website